With social addiction and knock-off goods undermining Ukrainian society, President Viktor Yanukovych responds to international criticism whilst the government attempts to legalize the invasion of Ukrainian homes.

Enough is never enough in Ukraine

The Ukrainian propensity for addictive behaviors, as evidenced by a recent surge in the use of alcohol, tobacco, illegal and prescriptive drugs, television and online games, is further debilitating Ukrainian society and creating generations of dependent individuals.

The obsession with television has made Ukraine a European leader in the number of programs produced as well as the number of viewers. Now the Internet is providing a shelter of distraction to the Ukrainian people as well. By global comparison, Ukraine is now at 5th place for popularity of social media, with more than 80 percent of Ukraine’s active Internet users (nearly 10 million people) regularly visiting social networks placing Ukraine behind only Philippines, Chile, Ecuador and the Republic of South Africa.

The Ukrainian propensity for addictive behaviors, as evidenced by a recent surge in the use of alcohol, tobacco, illegal and prescriptive drugs, television and online games, is further debilitating Ukrainian society and creating generations of dependent individuals.

The obsession with television has made Ukraine a European leader in the number of programs produced as well as the number of viewers. Now the Internet is providing a shelter of distraction to the Ukrainian people as well. By global comparison, Ukraine is now at 5th place for popularity of social media, with more than 80 percent of Ukraine’s active Internet users (nearly 10 million people) regularly visiting social networks placing Ukraine behind only Philippines, Chile, Ecuador and the Republic of South Africa.

These, however, are low-impact addictions – the same cannot be said of the rest.

Alcohol: Ukraine ranks 5th place in the world, annually consuming over 15 liters of pure alcohol per person – the national equivalent of 62 bottles of vodka for every second of the year.

Tobacco: Nearly 33 percent of adult Ukrainians regularly smoke, putting Ukraine in fourth place among European countries after Austria, Belgium and Greece.

Drugs: Ukraine is in 3rd place in Europe and 8th place in the world for heavy drug abuse with more than 370,000 people (1.16 percent of the population) trapped in drug addiction. In addition to these problems, the Ukrainian population overuses medicine, has a very high rate of turnover in mobile phones and is obsessed with shopping.

All these factors are working together to corrode the foundations of Ukrainian society – an irreversible death sentence for Ukrainian democracy and Ukraine’s integrity as a country.

People First Comment: Sociologists will tell you that there is a direct correlation between addictions and the downward spiral of societies. As societies degenerate in terms of the social infrastructure, housing, employment and education, so the level of addiction to drugs, alcohol, mindless television and time wasting chit chat increases.

In the USA, this phenomenon is termed “broken window syndrome.” It is where downgraded society becomes the norm and the downgrading of society is no longer considered anti-social. Experiments in some of the virtually derelict areas of New York where broken windows were replaced, pot holes repaired and graffiti removed saw a measurable decline in the drugs trade, prostitution and social delinquency to the extent that many cities are now cleaning up their act even to the extent of removing advertising hoardings and setting standards for shop fronts. What they have found is that people living in clean and socially advanced environments are considerably less likely to drop litter, deface walls and indulge in socially unacceptable practices.

While the city of Kiev may be spending a small fortune repainting buildings and repairing city centre roads in the run-up to Euro 2012, you only have to cross the river to see social decay of the worst kind and equal to that found in US cities. The above report simply re-enforces the argument that government priorities seem a little misguided. Instead of trying to hide the social situation in coats of fresh paint they ought to be concentrating on dealing with the real social issues before they explode. This is not only a role for national and local government but for citizens and local communities. We should all take responsibility for the environments in which we live.

In search of the genuine article

The State Committee for Technical Regulation and Consumption Policy of Ukraine informs that 90 percent of all products on offer in Ukraine are fakes. Together with China and Vietnam, Ukraine is among the world leaders in the production of fake products – with pharmaceutical products topping the table. Fabricated goods even penetrate the Ukrainian medicines market by between 3 and 50 percent. The mass production of fake products in Ukraine is enabled by a low level of intellectual property legislation.

The government of Ukraine has done virtually nothing to combat the situation forcing some to suggest their complicity in the crime. The legislation of Ukraine does provide criminal liability for violation of the rights of trademark but it is rarely if ever executed in practice. The problem has progressed to the stage where producers have given up caring about the protection of their products from fabrication. They even receive a benefit: if accused of producing low-quality items they can claim it to be a fake. In summary, the inefficiency of the legislation on the protection of intellectual property rights, the rights of producers and consumers results in the Ukrainian people living in a world of rip-offs.

In such a world, perhaps it is fitting that the political system looks genuine but fails to stand up to quality checks.

People First Comment: There was a time when Taiwan was the fake capital of the world. Through a very deliberate program of legislation and communication, they managed to pass the mantle to China, who in turn passed it on to Vietnam and now it seems that Ukraine is rapidly becoming a centre for this lucrative trade. The explosion in fake goods is an indication of a very sick economy as fully functioning economies are too busy making real goods to bother with selling fakes.

Recently, a well-known Verkhovna Rada (parliament) deputy found that three of his four “Vertu” telephones had stopped working. Rather than risk such high-value items to a local repair shop, he sent them back to the factory in the United Kingdom only to be told that his $60,000 worth of investment were all Far Eastern fakes worth less than $100. Some might consider this to be poetic justice, but would it be the same if the fakes were aircraft parts or agricultural fertilizers or life supporting drugs? Some years ago a leading helicopter producer experienced problems when some of their aircraft literally fell out of the sky. The cause was narrowed down to fake titanium rotor parts that failed in flight resulting in the deaths of all on board. The volumes of fake and dangerous chemicals that are being applied to Ukrainian fields is of such concern to the European Union that it is putting at risk all agricultural exports whilst the amount of fake Viagra on the market must be leaving a lot of people very disappointed.

We all have the right to expect that the products we buy are what it says on the label. We all have the right to expect the government to ensure that fake products don’t get into the retail system and that society is protected. Ukraine has a highly sophisticated system of product certification and control. If it is no longer working then it is the government who should be asking serious questions of the customs service and the certification agencies as these may well be focal points for the new anti-corruption drive.

A quick and empty presidential response to international criticism

In June, the international human rights advocacy organization Freedom House presented its latest report on Ukraine "Sounding the Alarm: Protecting Democracy in Ukraine." At the presentation of the report David J. Kramer, Freedom House chief executive, expressed deep concerns over the concentration of power into the hands of the Party of Regions and the way the Ukrainian authorities use the courts and Security Services to apply selective justice. All the common themes are once again rearing their heads: corruption at every level, ineffectiveness of parliament, deterioration of basic democratic freedoms, and persecution of civil society activists and opposition leaders. The most emphatic point of the speech was the recognition of the authoritarian manner in which the President of Ukraine had centralised power. The report concludes with an appeal to the United States of America and the European Union to pay more attention to Ukraine’s “progress.”

Yanukovych promptly responded by promising to take all the criticisms raised by the international human rights advocate into consideration. Yanukovych has also highlighted some of the positive changes mentioned in the report and attributed them to the hard work of Ukraine’s governing authorities. According to the President the authorities have initiated a major modernisation of the country, which requires many unpopular decisions to be made.

Yanukovych has also mentioned the importance of justice and the rule of law.

For some it may bring confidence that the president is so able to take criticism in his stride. For others it may summon somewhat less comfortable emotions.

People First Comment: Something radical has happened in Bankova Street. The speed of the presidential response to this latest Freedom House report is unprecedented and of a distinctly more positive tone than of late. If this is signaling a major change of approach and attitude within the Presidential Administration then this is to be welcomed and applauded. If these fine words are then backed up with real action then we would be right to think and believe that we are entering a new era of enlightenment. If, however, it is just another blast of hot air then all we will be able to deduce is that the president’s new and enlarged PR team and spin doctors are finally making an impact. Let us hope it is real and that finally there are those in power who recognize that Ukraine cannot continue to simply lumber blindly on, that advice and experience need to be heeded and that there is real political benefit in playing by international rules.

When government enters the home, people take to the street

The parliament is currently working on a new housing code that has already been approved in the first reading and might well be passed by the end of this summer. According to its authors, the code will set the scene for the development of the municipal services market.

Many experts and constitutional layers believe that the suggested code is highly imperfect and leaves much space for the violation of human rights of those people who currently live in apartment buildings. The code provides grounds for the eviction of debtors and unlimited penalties in case of delayed payments. Private dwellings may be expropriated for social needs, while the people’s apartments will become open for inspections in direct violation of the Constitution. Citizens will not be able to refuse to sign amended contracts with managing companies – further exacerbating corruption.

Many experts and constitutional layers believe that the suggested code is highly imperfect and leaves much space for the violation of human rights of those people who currently live in apartment buildings. The code provides grounds for the eviction of debtors and unlimited penalties in case of delayed payments. Private dwellings may be expropriated for social needs, while the people’s apartments will become open for inspections in direct violation of the Constitution. Citizens will not be able to refuse to sign amended contracts with managing companies – further exacerbating corruption.

Without a doubt Ukraine needs to modernize its housing and utilities infrastructure, which is currently regulated by old Soviet laws and principles. If the authorities pass the new housing code, they will be able to enter the people’s homes without permission, opening the door to intimidation and suppression of freedoms.

Could this be the final straw? The first wave of public uprisings has already delayed the consideration of the new Housing Code, however the authorities next move could prove fatal with so much discontent directed towards them.

People First Comment: In the late 1990s, the Ministry of Social Protection financed by the World Bank created a highly effective social protection system to ensure that those who genuinely could not pay their housing, energy and water bills would be supported by a means-tested state subsidy.This ‘housing subsidy program’ was considered to be a real step forwards in Ukrainian social protection and was designed to ensure that those in difficulty would be supported. It currently covers all housing costs above 10 percent of monthly incomes for pensioners and 15 percent of monthly incomes for the rest of society in need.

In view of this social support, new legislation to force recalcitrant tenants to pay their rent on time and to pay for the services they consume would seem to be a natural second step however it may be that at the same time the social support network will need to be widened.

The recent financial crisis has left many in Ukraine in a precarious position regarding their homes which is being further compounded in the small-and-medium enterprise sector by the impact of the new tax laws. The knock-on effect of the crisis has thrown thousands out of work. The employment legislation has resulted in millions being employed outside the legal safeguards and therefore unable to claim any form of social support to protect their families and yet now the Rada is seeking to give local authorities and private landlords sweeping powers to enter homes and evict families.

Most certainly there needs to be a clear distinction between those living in real hardship and those who are simply trying to avoid meeting their financial obligations. The former must be protected at all cost, the latter must learn that shirking financial responsibilities’ comes at a real cost. To lump the two together in this rather general and sweeping proposals will mean that yet another societal foundation will have been removed and a swath of people could well be left on the streets setting a very dangerous social precedent.


Viktor Tkachuk is chief executive of the People First Foundation, a politically independent democracy foundation. He is a former deputy secretary of Ukraine’s National Security and Defense Council, a former senior adviser to three presidents and a former member of the Ukrainian parliament.